A bidding war has emerged for Punch Taverns (PUB) after revealing approaches from both Heineken and entrepreneur Alan McIntosh.
Heineken has teamed up with Patron Capital to table a 174p per share proposal. McIntosh has proposed to pay 185p through his Emerald Investment vehicle.
Punch has confirmed the approaches and is in talks with both parties.
The pubs company announced on 8 November a move into full year profit, making £60m versus a loss of £105m in 2015. It said its retail division was operating ahead of expectations.
Punch also confirmed that its big disposal initiative had ended, delivering £234m net proceeds in the year which is £75m above book value.
At the results, Punch chief executive Duncan Garrood said: ‘Punch has a clear plan for the future, a strategy that is progressing well, and a unique operating model that is expected to drive improved performance over the coming years.’
Punch had previously looked at merging with Mitchells & Butlers (MAB) but ended talks in 2008 after saying the deal was not in the best interest of its shareholders.
Heineken owns the Star Pubs & Bars leased pub business in the UK.
